Rebalancing power asymmetries within firms: Evidence from illegal resignations | Caterina Pavese (ifo Institute)
FBK-IRVAPP is pleased to invite you to the following seminar: Rebalancing power asymmetries within firms: Evidence from illegal resignations.
With the participation of Caterina Pavese (ifo Institute)
Abstract
In this paper, we document the extent of employer abuse of power and characterize the employers most likely to engage in abusive relationships with their employees. We leverage an Italian reform that changed the submission process for voluntary resignations from a paper-based to an online system. This reform aimed to curb the illegal practice of requiring workers to sign undated resignation letters, which employers could use at their discretion to avoid the costs associated with dismissals – a clear manifestation of power abuse. Using difference-in-difference estimation to identify causal effects, we document that resignations declined more in firms with higher proportions of vulnerable workers, operating in weaker local labor markets, and with lower productivity. We also show that the reform effectively increased workers’ safety by reducing injuries, thereby successfully rebalancing power within firms.
The seminar is held in English.
Relatori
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Caterina Pavese - Relatore ospiteifo InstituteCaterina Pavese is an Assistant Professor at the ifo Institut, Munich. She is a member of the Junior Faculty at LMU Munich and the CESifo network. She obtained her PhD from Ca' Foscari University of Venice in 2020. In 2019, she was a Visiting Scholar at UCL, London. Her primary research interests lie in the fields of the Economics of Education, Migration, and Labour Economics.
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